Tertiary Education Minister Chris Bowen has presented an upbeat outlook for the multibillion-dollar international education sector, releasing a report that predicts foreign student enrolments will increase by 30 per cent by 2020 to contribute $19.1 billion to the economy.

The Australia – Educating Globally report was prepared by the International Education Advisory Council, which is chaired by businessman and University of Western Australia chancellor
Michael Chaney
.

Among its 35 recommendations is the establishment of a ministerial panel to oversee development and recovery of the international education industry, which has suffered due to the high value of the Australian dollar and changes to visa rules.

“The Chaney report estimates that by 2020, Australia can expect to be hosting an additional 117,000 international students, a 30 per cent increase on today’s numbers," Mr Bowen said. “That means continuing to support the sector’s competitiveness while maintaining quality is a crucial priority."

He said visa figures showed an upturn in interest in studying here.

“In the six months to December 2012, there was a 27 per cent growth in higher education visas granted to offshore applicants, compared to the same period in 2011," he said.

Earlier, Mr Bowen talked up Labor’s higher education credentials in his first speech since taking over the portfolio from retiring
Chris Evans
.

He stressed the government’s achievements, including the uncapping of university places to bring nearly 200,000 extra students into courses in 2013 compared with 2007.

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“I don’t usually get so political in speeches to conferences such as this," he told 600 delegates at a Universities Australia conference in Canberra.

“But this year the stakes are too high for universities to be constrained by niceties. We can’t let the massive gains for universities over the last five years go by the wayside."

Mr Bowen said the Ministerial Coordinating Council on International Education would oversee implementation of a five-year strategy based on the report’s recommendations, which also include improving the student experience, quality assurance for providers and courses, and equal treatment of international students on transport and in hospitals.

The report recommends a review of the operation of the genuine temporary entrant rules, which education providers have claimed are being applied too zealously by immigration officials, causing bona fide students to be locked out. It backed extending streamlined student visa processing beyond universities to high quality non-university education providers.

“While historic rates of growth will slow as some institutions reach their carrying capacity, we estimate that the most likely growth path would see Australia hosting around 520,000 students in 2020, studying across all education sectors and contributing around $19.1 billion to the local economy," the report says.

“For the community, this brings direct benefits to retailers, accommodation providers and community enterprises.

Mr Bowen said the government would respond shortly but was likely to adopt most of the recommendations.

Rod Jones, CEO of Navitas which is a listed company whose main business is international education, said the recommendations were astute and met “the fine balance required to help support sustainable growth in Australia’s international education sector while maintaining quality outcomes for international students."

The peak body for the university sector, Universities Australia, also welcomed the report saying it outlined strategy which was real and achievable.

“At around $15 billion each year, international education is Australia’s largest export earner after resources, it is crucial we get the policy settings right," said Belinda Robinson, chief executive of Universities Australia.

Opposition Leader Tony Abbott is due to outline his higher education policy on Thursday.